Photos by Nadia Tyson

ANNUAL REPORTFY 2016 - 2017

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MissionStep Up envisions that all individuals, families, and communities affected by mental illness will have the opportunity to experience recovery and a sense of belonging, and that permanent supportive housing will be available to everyone who needs it.

Step Up delivers compassionate support to people experiencing serious mental illness to help them recover, stabilize, and integrate into the community. Through dynamic partnerships, we provide positive social and learning environments, vocational training, permanent supportive housing opportunities, and recovery services to empower individuals to cultivate lives of hope and dignity. We exercise innovative leadership and advocacy to increase public understanding, support and acceptance of all people living with mental illness.

The Housing First Model:

Immediate access to permanent supportive housing,with no housing readiness requirement

Consumer choice and self determination

Recovery orientation

Individualized and client driven supports

Social and community integration

Rich array of supportive services

Comprehensive support services and programs leading to self-sufficiency, harm-reduction and recovery for individuals with mental illness.

Meaningful opportunities for members and their families to achieve self-determined goals, experience community, and support advocacy to reduce discrimination.

Exemplary permanent supportive housing, associated services, and infrastructure that are member-focused, outcomes-based, economically and environmentally sustainable, aligned with the Housing First model, and developed through longstanding, trusted partnerships.

Toward achievement of its mission, Step Up delivers:

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Honorary BoardSteve BingAllen Emkin Aileen GettyRobert GreenbergJeffrey KaufmannRobert A. McDonaldJohn VeinMark Verge

CHAIR: Barrett EsareyVICE CHAIR: Anant PatelTREASURER: Marjorie HendricksSECRETARY: Kevin Kozal, Esq.

Board of Directors

Lise Bornstein Marly Ann CarlisleNancy CarterDr. Fernando Torres GilJonathan D. Greenberg, Esq.Ivan IllanLes Jones

Harry KeileyAndi LovanoPeter C. ScholzeLeroy SimpkinsMia St. JohnZev Yarovslavsky

“Our visionis to makeLos Angeles

an ideal place for Veterans.”

- Robert A. McDonaldFormer Secretary of Veteran Affairs

and member of Step Up Advisory Board

OFFICERS MEMBERS

Move in Day at Building 209 on West LA VA Campus

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Permanent Supportive Housing: Serious mental health issues are at the root of chronic homelessness for many. The permanent supportive housing of Step Up and Daniel’s Place brings the stability and inclusion that leads to recovery for adults and transitional aged youth (18-28 years of age) experiencing mental health issues. Step Up and Daniel’s Place operate 200 units of innovative, community-based supportive housing in Santa Monica and Hollywood, as well as linkage to numerous scattered sites units in the greater Los Angeles area. Each SRO home unit is flexible, voluntary, and tenant–cen-tered, in the least restrictive and most integrated setting to help individuals move from the streets to home. Step Up and Daniel’s Place are also involved in national efforts to create the upfront working capital to scale this successful “Housing First” model so that this promising solution can work for all individuals experiencing chronic homelessness and mental health issues. Vocational Training and Employment: Productivity is an important aspect of quality of life. Step Up and Daniel’s Place offer coaching and mentoring opportunities including pre-vocational training, techniques for job interviews, work adjustment, employment preparation, and job placement. Hands-on experiences in paid positions include word processing, data entry, facilities maintenance, receptionist duties, clerical support, food service, restaurant kitchen operations, and retail associate work. Over 175 mem-bers participate in these supported employment training and placement programs, with 80 individuals employed, and 31 individuals enrolled in an educational program of some type. Participants work as employees of Step Up and Daniel’s Place with supported supervision and guidance. Step Up’s vocational philosophy parallels its housing philoso-phy - there are no failures. All participants desiring meaningful, community-competitive employment will be assisted in achieving that goal.

Supportive Services: Member-driven support programs and services reduce harm, prevent relapse, and foster recovery. The professional staff and peer advocates of Step Up and Daniel’s Place provide support and empowerment for members to achieve their self-determined goals through services coordination, life skills coaching, psychiatrists for medication support, and transportation. New members are connected to a Peer Advocate for a “buddy-system” and receive one-on-one peer attention. Many opportunities for a sense of belonging and the embrace of community include: Sixty weekly peer support groups with topics as diverse as learning how to tell one’s story, computer basics, managing medications, yoga, money management, and a variety of art opportunities; “Brainstorm”, a creative writing group, gives expression to the experience of mental health issues; the Art Heals Gallery, a permanent space to exhibit member artists’ work; and a Computer Learning Center. Over 40,000 individual meals are provided annually, and over 1200 members are assisted. Step Up and Daniel’s Place members meet weekly in Member Advisory Groups providing feedback and problem-solving. Two members serve on Step Up’s Board of Directors, and participate in establishing and supporting the agency’s vision for the future and advocacy to end stigma and discrimination. Additionally, a Step Up and Daniel’s Place Parent Support Group provides experience, strength, and hope for family members.

“We know whatto do, and we

know how to doit, we just need

a lot more of it.”- Philip F. Mangano

Founder & CEOAmericanRound Table to Abolish Homelessness

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A Message from the President & CEOThank you for your support which was so instrumental in Step Up’s tremendous impact this past year, a year of major accomplishments and growth. We’re now recognized as a national model and have been asked to replicate our model nationally and train other cities and states how to END homelessness, rather than just manage homelessness. Additionally, Step Up received very special recognition of the important work we’re doing with Veterans from former US Secretary of Veterans Affairs, Robert McDonald, whom I am proud to tell you now a part of our Honorary Board.

During FY16-17 with your support, Step Up has:

• Helped 175 individuals participate in Vocational Training; 45 secured unsubsidized employment;

• Enabled 54 Veterans experiencing chronic homelessness and multiple complex health issues to move into their own place at Building 209 on the VA Campus. They are receiving supportive services needed to remain stably housed;

• Had 200 TAY come through the Daniel’s Place Drop-In Center for help;

• Expanded into San Bernardino, Riverside County, and Orange County. To date, 150 individuals moved from the streets to supportive housing.

Over the next two years, Step Up will provide access to permanent housing and a rich array of support services for an additional 1,000 individuals, each having lived on the streets for an average of 5 years. Some individuals, such as Mary, have been without a stable home for 20 years; and Paul experienced homelessness for 40 years before he finally entered into his newly leased apartment.

To help fuel this impact, I am inviting you to participate in a special one-time gift to this year’s Ending Homelessness Initiative!

With your continued and increasing support, your investment of:

• $100,000 underwrites 22 Veterans with daily support services such as meal preparation, life skills training, money management, vocational training, move-in costs and security deposits;

• $36,000 adopts one person with a year of housing with supportive services;

• $24,000 provides one person with a year of substance abuse recovery support;

• $12,000 purchases Welcome Home Kits for 12 persons moving into their new home;

• $5000 ensures one month of nursing services for participants with chronic healthcare needs;

• $1250 allows one young person to participate in Vocational Training;

• $500 provides 100 hot, nutritious meals.

We have a Matching Gift Challenge that will significantly increase impact for the work we do together!

In recognition of the importance of the Ending Homelessness Initiative, a longtime donor has

offered a Matching Gift Challenge. The donor will match, dollar for dollar up to $75,000 on all gifts made between now and December 31, 2017 designated for the Ending Homelessness Initiative.

Maximizing your investment means Step Up can work more rapidly and efficiently to place individuals into housing and provide them support. Together, we can move more individuals experiencing mental health issues, particularly Veterans and transitional age youth (TAY), into a compassionate environment in which to recover and thrive. Your support of the Ending Homelessness Initiative means together we will end homelessness and change the future for 1,000 individuals currently on the streets experiencing mental and physical health issues!

Thank you.

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How one Step Up family expands their legacy of giving

There are many ways to donate to Step Up. One grateful family has chosen to donate gifts of stock to Step Up. This Step Up family had a loved one who lived at a Step Up property for many years. For a decade prior to engagement with Step Up staff, this family member had an untreated mental health condition and refused services. His family did not give up on him and did everything they knew to do to help him. They often found him on the streets without food, clean clothing or money. The family reached out to Step Up. It took a more than a year of outreach and engagement with a Step Up service coordinator for a sense of trust to grow. This loved one decided, much to his family’s surprise and joy, to give housing a try and he moved into his own apartment in a Step Up building. He stabilized in that apartment and lived there for many years, building friend-ships, living a peaceful life in recovery.

Recently this family, who experienced first-hand the transformation and recovery made possible by the support-ive services of Step Up, made a special gift to the Ending

Homelessness Initiative through a stock transfer instead of their usual monetary donation. They were able to take advantage of additional favorable tax benefits and so made a sizeable contribution to Step Up.

Gifts of appreciated stock such as this are a great example of how to “do well by doing good.” As always, discuss this gifting strategy with your tax professional prior to making a gift to ensure it is the right strategy for you.

The end of 2017 is quickly approaching and ownership transfer has to be completed soon to take advantage of the tax benefits for this year. If you would like to take advantage of this win-win tax deduction strategy, it’s not too early to start moving forward with a stock transfer, or to put Step Up in your estate plans for the future.

Contact Carolyn Baker, Chief Development Officer, for details on how to make a donation in this way at: (310) 576-1308 x1250 or via email: carolyn@stepuponsecond.org

L: Rooftop Urban Garden at Step Up on Vine.

R: Daniel’s Place 2016 Thanksgiving Dinner.

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FY16-17 Donors Steward ($5,000 - $9,999) Korman CommunitiesUnion Bank Foundation

Advocate ($1,000 - $4,999)Lise BornsteinBrad Rosenberg Family Foundation David & Deborah BrownThomas CleysFidelity Brokerage Services LLCGreen, Hasson & Janks, LLPTerry & Greg HargraveElizabeth & Mervin HechtMarjorie HendricksIsambard Kingdom Brubnel Society of North AmericaJade Tree FoundationLeonade JonesKevin & Cindy KozalLions Club of Santa MonicaMichael & Jill McNitt-GrayKay Pattisonrbz LLPLois RozetSanta Monica Bay Woman’s ClubSt. Paul the Apostle Catholic Community ChurchThomas L. Safran & AssociatesCarlo & Aglaia Zaniolo

Community Builder ($500 - $999)Angeles Investment AdvisorsAryeh & Jennifer AslanBarry BernsteinBrian & Melissa TarskyMary Chappel & Rick RudyKent & Kay ColbergJohn & Mary Lou DampmanPamela DawberPatricia Gorner SchwartzJeanne GersonHamilton JamesPatricia JohnsonAndrea LovanoMatthew Miller

Gertrude PomishMary Ann & James S. PowellCathie & Robert RossSauer & Wagner LLPRobin Shakeshaft & Margaret RosenthalAllan & Judy SherWilliam SouthwickUnited Methodist Women of First United Methodist ChurchAlexander Young & Karen Miotto

Friend ($100 - $499)Gloria AinslieTess Amato-Clair & John ClairAquifer MediaCarolyn BakerNancy BaxterThe Benindi FundMichael & Nancy BertrandoAviva BiedermanRichard Bloom & Robbie BlackVictor & Susan BraceyMichael BraunDavid BrisbinSpencer BrownBeth BurnamMaury & Elizabeth CarlinChristina CarrollMichael & Sarah ChambersMadelain CobbDavid Cole & Nina PillardPatrick CollinsBetty CotaRoberta CruzenAnn DanRichard & Sheila DaumRocco De RyJacqueline DiMeglioCarol & Michael DituriKatharine DreyfussGlenn DryfoosCharles DuffieldJames FactorGeorge FisherGreg Flewin Planning and Design

Flower Child Santa MonicaAnonymousMonroe & Rita FriedmanRebecca FriedmanMark GalantySteve & Jane GomerThe Good Beginning/ Libby Helms, Inc.Jon & Mindy Gray Family FoundationEdie & Gary GreenbaumStephen & Lyn GreenbergTrudi GunsbergLois GuntherCharles & Christine HaskellPeter HemenwayEdward & Vicki HieronymusSherman & Phyllis HolveyDavid & Essie HorwitzDana HutchingsMarjorie JayJustGiveLinda Kayland ChretinKaren KleemanChristopher & Lorraine KnopfRoger & Joanne KozbergStan & Barbara KrasnoffBlanche KrietzmanNina LaddonLavac Enterprises Inc.Richard & Charlene LawrenceCarol Lemlein & Eric NatwigJean LesermanMichael LeventhalMark Levin & Jennifer FlackettNorman Levine & Barbara MackRobert LindenbergBarbara & Mark LinderLillian & David LipkaRichard LissMark & Cathy LouchheimDavid Maisel & Lynn FontanaPhilip ManganoRobert MarshallChristopher May & Barbara McGrawEleonore Meline

Alex & Renata MillerAnkica MilosavljevicVincent MuselliAmy & Bob O’ConnorMarjorie OrnstonAllen PackBill PerryCarolyn PerrySandra Price & Marvin HartenSusan Ramer & Mark ColemanHerbert & Eleanor ReichLois ReinisSydney RisserMark RobesonKarine RosenthalRichard RossStuart RudnickAdam ScottCharles ShephardSuzanne SheridanDana ShermanJennifer & Robert SolomonStephen Solomon & Ellen PardoSt. Johns Presbyterian ChurchRon & Debbie StarrHarold & Clara SteingoldJonathan SteptEugenie TartellCheryl TchirThe Hayes Family TrustFernando Torres-GilDavid TraversStanley & Linda Trilling Family FoundationChristine UptonJody UttalMarc van AsseltVenice Marina Lions ClubSandra WeismanLinnea WileFred & Teresa Zullo

Special thanks to the 172 donors who, together, donated a total of $5,895 in gifts under $100 in FY16-17!

July 1, 2016 - June 30, 2017

Visionary ($1,000,000+)The Annenberg FoundationAnonymousUnited Way of Greater Los AngelesWeingart Foundation

Founder ($750,000 - $999,999) George Hoag Family FoundationConrad N. Hilton Foundation

Humanitarian ($500,000 - $749,999) The Ahmanson FoundationMarjorie Kaufmann Jeffrey & Susie KaufmannAnonymous

Patron ($250,000 - $499,999) Angell FoundationKobe & Vanessa Bryant Family FoundationCorporation for Supportive HousingCarl and Roberta Deutsch FoundationArthur GreenbergJonathan & Natsuko GreenbergRob & Gabrielle GreenbergW.M. Keck Foundation Ralph M. Parsons Foundation

Benefactor ($100,000 - $249,999)AnonymousAttias Family FoundationHenry & Janne BurdickDonor Advised Gifts through California Commu-nity FoundationThe California EndowmentCalifornia Wellness FoundationDora Freedman Levit Fund for PeopleFEMAThe Home Depot FoundationKaiser Permanente Southern CaliforniaKarisma FoundationArnie & Emma KleinAnonymousIllah Perrin

Bruce & Marleen RognlienShangri-La Construction Sidney Stern Memorial TrustAnonymousS. Mark Taper Foundation Specialty Family FoundationMehran & Laila TaslimiDavid Vickter Foundation

Fellow ($50,000 - $99,999) Joy AndersonAnonymousAnonymousBerkshire Hathaway Homes ServicesBoomer Family FundCannon Family FoundationDorothy CarpenterCity National BankGelson’s - Food for All FoundationFrank Gruber & Janet LevinWilliam H. Hannon FoundationThe Rose Hills FoundationTodd & Tatiana JamesLedler FoundationRay IraniRex & Judy LickliderB.C. McCabe FoundationMorley Group, Inc. Charitable FoundationNorthrop Grumman CorporationOccidental Petroleum Corporation Pfaffinger Foundation Saint John’s Health CenterSaint Matthew’s Thrift ShopRobert Ellis Simon FoundationDonald T. Sterling Charitable Foundation

Partner ($25,000 - $49,999) Bingham, McCutchenBoard of Supervisors Los Angeles CountyDeborah & Andrew Bogen Joseph & Marilyn Cahn Larry & Carol ClemmensenCarol & James Collins FoundationDaniel DavisErnest G. Herman FoundationFirst Presbyterian Church

Santa MonicaHenry L. Guenther FoundationEnterprise FoundationJoseph & Roberta HowardIvan Illan/Mass Mutual Michael D. Levin & Joanne D. Levin Foundation David MarksThe Burton D. Morgan FoundationThe Kenneth T. & Eileen L. Norris FoundationHoward RebackSanta Monica Rotary Club FoundationJeanne & Robert SegalPeter & Beth Scholze/AllianceBernsteinThe John & Polly Sparks Foundation Unity West ChurchFrederick R. Weisman Foundation

Pacesetter ($10,000 - $24,999) Katherine Andrews Raymond & Barbara Alpert FoundationMarion ArchibaldBob & Virginia BarberEric & Jennifer BerkowitzRamakrishna Rao & Rita Jean Boppana California Healthcare FoundationCalifornia Municipal Finance Authority Capital Group Companies Foundation Citigroup Foundation John DatwylerSusan DempsayDolphin Change Program FundEARS to YouECHOEdwards LifesciencesEmployees Community Fund of Boeing Fairbank & VincentFare Start/Catalyst Kitchens First Federal Bank Ella Fitzgerald Charitable Fund Bernadine Fried & Alex Shohet Galen Family FoundationMichael Gleissner Phil & Paula GlossermanRichard & Anne Hallock Fred L. Hartley Family FoundationRosemarie Haynes Audrey Hepburn Children’s Fund

Hillcrest Insurance Lucie HindenHollywood Foreign Press Foundation Jo HopperHosan FoundationSybil JaffyJewish Community FoundationKaiser Foundation Hospitals, Los Angeles Henry Kamberg & Maria Hernandez Kingdom Works SDG Foundation Kiwanis Of Malibu Joe La CroixJoanne Levin & Alex Klyce Local Independent CharitiesDennis & Marilyn Martin Chauncey & Marion D. McCormick Family Foundation Laurie MacDonald and Walter Parkes Giles W. and Elise G. Mead FoundationThe Moe - Life Foundation Thomas & Samira Moran Alfred MosesAnne Marie Mueller & Charles Pollard, Jr. Neidorf Family FoundationDonald & Nancy PivnickPublic Relations Society of AmericaStephanie RamerHenry ReynoldsDavid & Barbara RognlienAdele RognlienRotary Club of Santa MonicaDonald & Nancy SchortSecurity Pacific FoundationThe Siegel Group Inc. Marcia Stein Stone Family FundJonah & Kristi SulakTaslimi ConstructionThird Party Solutions Patrisha ThomsonJohn & Carolyn TiptonUS BancorpTed Von Der AheJann Wenner/Rolling StoneWestfield CorporationDavid WrightSteve & Elizabeth ZaillianZukor Family Fund

Cumulative Lifetime GivingHonored Lifetime Contributors

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Financial

Grants/Contracts $8,904,694Housing Grant $4,300,000Contributions $1,151,238Rental Income $686,537Misc. Income $217,680Equity in Partnerships $1,222

Public Support & Revenue Functional Expenses

Program Services 81%Grants/Contracts 59.2%

Management and General 13.4%

Fundraising 5.6%

Contributions 7.5%

Rental Income 4%

Miscellaneous 1%

Program Services $8,896,436Management and General $1,472,777Fundraising $615,469

Housing Grant 28.3%

Equity in Partnerships > 1%

*Per Step Up’s Annual Audit conducted by an outside firm for FY ending June 30, 2016.

*Based on most recent audited financial statements

Public Support and Revenue Functional Expenses

Complete the work of Step Up’s commitment to scale 400 units of permanent supportive housing for Veterans experiencing homelessness and pursue the viability of replicating and scaling that model for non-Veteran populations as well as in other key cities.

Increase opportunities for members to participate in supportive employment, including job training, work experience, and community resource development.

Continue a leadership role in exploring innovative solutions and partnerships enabling Step Up to scale permanent supportive housing and employment resources and opportunities for the individuals it serves.

Become a recognized voice promoting effective state and federal policies and legislation impacting people experiencing serious mental health issues and chronic homelessness.

Build successful working alliances with leading organizations in the mental health field and with associated constituent groups, including the disabled, Veteran, and older person communities.

Continue to expand the Step Up solution to other Southern California communities with a goal to build significant capacity in those communities. Explore expansion into areas outside Southern California, as well as other states as it aligns with its message and key partnerships.

Explore expansion of Step Up’s Veteran housing initiative to other vulnerable populations and as well as implementation of the model within othergeographic regions.

Looking to the future... Future Goals:

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Veteran on steps at Building 209 on West LA VA Campus.

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West LA VA Building 209 Ribbon Cutting on June, 2017

Step Up members enjoy the Annual Picnic at Clover Park in Santa Monica.

Step Up members participating in the Floral Design Workshop

Navy Veteran & SUOS Vocational team member

Daniel L.

Housing Coordinator Gerald Alexander

Veteran Duncan N.

Veteran Dana H.

Step Up1328 Second St.Santa Monica, CA 90401(310) 576-1308development@stepuponsecond.org

@stepuponsecond | @danielsvillage

Daniel’s Village | 2624 Santa Monica Blvd, Santa MonicaStep Up on Fifth | 1548 Fifth Street, Santa MonicaStep Up On Colorado | 520 Colorado Avenue, Santa MonicaStep Up on Vine | 1057 N. Vine Street, HollywoodMichael’s Village | 7160 Sunset Boulevard, HollywoodThe Tammy | 1146 Tamarind Avenue, HollywoodBuilding 209 | 11301 Wilshire Blvd., Bldg. 209, Los Angeles

The 2016-2017 Annual Report is dedicated to the individuals, families, and communities served by Step Up and Daniel’s Places.

www.stepuponsecond.org

To make an immediate impact to help end homelessness, text PSH to 41444